FX.co ★ Taiwan Shares Tipped To Bounce Higher On Friday

The Taiwan stock market saw a downturn on Thursday, breaking a two-day winning streak during which it had gained almost 1,500 points or 7.5%. The Taiwan Stock Exchange (TSE) now stands just above the 20,870-point mark, with projections hinting at a positive opening for Friday.

Globally, the forecast for Asian markets is optimistic as fears concerning the U.S. economy's health begin to ease. While European markets remained mostly unchanged, U.S. markets recorded significant gains, suggesting that Asian markets may follow this upward trend.

The TSE experienced a significant drop on Thursday, driven by losses in financial shares, technology stocks, and plastics companies. The index fell by 425.18 points or 2.00%, closing at 20,870.10, with trading ranges between 20,723.26 and 21,074.19.

Key performers included:

- Cathay Financial: down 1.37%

- Mega Financial: down 4.87%

- CTBC Financial: down 0.44%

- First Financial: down 3.65%

- Fubon Financial: up 0.61%

- E Sun Financial: down 0.39%

- Taiwan Semiconductor Manufacturing Company: down 2.61%

- United Microelectronics Corporation: down 0.38%

- Hon Hai Precision: down 4.11%

- Largan Precision: down 1.08%

- Catcher Technology: down 1.35%

- MediaTek: down 3.04%

- Delta Electronics: down 0.66%

- Formosa Plastics: down 3.09%

- Nan Ya Plastics: down 2.32%

- Asia Cement: up 1.80%

- Novatek Microelectronics: unchanged

Wall Street presented a positive outlook, with major averages closing near session highs after starting the day strong and gaining momentum. The Dow rose by 683.04 points or 1.76% to close at 39,446.49, the NASDAQ climbed by 464.22 points or 2.87% to finish at 16,660.02, and the S&P 500 increased by 119.81 points or 2.30% to settle at 5,319.31.

This rally was largely fueled by a Labor Department report indicating that first-time claims for U.S. unemployment benefits decreased more than anticipated last week, mitigating recent concerns over the labor market's strength, which had contributed to recent Wall Street sell-offs.

In corporate news, Under Armour (UAA) and Eli Lilly (LLY) saw significant gains after posting strong results, whereas Warner Brothers Discovery (WBD) declined due to weak numbers.

Oil futures closed higher on Thursday, driven by potential supply disruptions amid Middle East tensions and anticipated increased demand in the U.S. West Texas Intermediate Crude oil futures for September rose by $0.96 or 1.28%, ending at $76.19 a barrel.